Economic and financial crisis The Role of the EGF (European Globalisation Adjustment Fund) Directorate-General for Employment, Social Affairs and Equal Opportunities

Economic and Financial Crisis - the Role of the EGF EGF: General overview How does the EGF work? Applicant? Amount available? Co-financing rate? Co-funders? Implementation period? Member State(s) (not companies or individuals) € 500 Mo/year max. Up to 50% Up to 65% (31.12.11) Member States, companies 12 months 24 months * Amendments to the EGF Regulation 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: General overview 17 applications submitted by 9 Member States Finland (1) Lithuania (1) Germany (2) Austria (1) France (2) Portugal (2) Spain (3) Italy (4) Malta (1) 29 April 2009 Economic and Financial Crisis - the Role of the EGF

Amount of EGF contributions EGF: General overview Amount of EGF contributions More than € 65 Mo granted since 2007 Average contribution: ± € 5.6 Mo Sectors and workers Textiles, automotive, mobile phones 20,000 workers assisted Textiles sector 8 applications for an amount of € 40.2 million 9,800 workers targeted for help 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Intervention criteria Art. 2 of Reg. (EC) 1927/2006: Serious economic disruption due to major structural changes in world trade patterns or the financial and economic crisis* At least 1,000 redundancies: 500* Period? Companies? Area? 4 months 1 enterprise + downstream producers and suppliers A Member State 9 months Companies of a NACE 2 sector 1 or 2 contiguous regions (NUTS II) Smaller cases eligible under exceptional circumstances * Amendments to the EGF Regulation 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Definition of “redundancy” Art. 2 of the new EGF Regulation: Individual notice of dismissal De facto termination of contract of employment before its expiry Notification in writing to the public authority of projected collective redundancies 29 April 2009 Economic and Financial Crisis - the Role of the EGF

Economic and Financial Crisis - the Role of the EGF EGF: Eligible Persons Art. 3 of the new EGF Regulation: Workers made redundant during the reference period Workers made redundant before or after the reference period if: Application based on art. 2(a) or assimilated 2(c); Redundancies occurred after announcement of projected redundancies; Redundancies linked to the ”globalisation” event. 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Eligible Measures Art. 3 of Reg. (EC) 1927/2006: The EGF only co-finances active labour market measures Training; Job-search assistance; Counselling and guidance; Employment and recruitment incentives; Mobility allowances Micro-credit and Entrepreneurship promotion; … The EGF co-finances neither passive measures nor companies restructuring 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Application Process Final Report Submission Payment EC Analysis and Proposal Period of Reference (Redundancies) Preparation of application Budgetary procedure End of implementation 4 or 9 months 10 weeks ± 28 weeks 6 months Implementation of EGF support 12 months 24 months* Implementation of measures by the Member State * Amendments to the EGF Regulation 29 April 2009 Economic and Financial Crisis - the Role of the EGF

Economic and Financial Crisis - the Role of the EGF EGF: Contact information List of EGF Contact Persons in every Member State http://ec.europa.eu/social/BlobServlet?docId=139&langId=en Commission services responsible for the EGF Email: EMPL-EGF-INFO@ec.europa.eu Site: http://ec.europa.eu/egf/ Thank you! 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Application Process What to do before the redundancies occur? Member States Monitor mass-redundancy events Stakeholders Warn national authorities of incoming mass-redundancy events 29 April 2009 Economic and Financial Crisis - the Role of the EGF

EGF: Application Process What to do during the preparation of an EGF application? Member States Gather data from local PES and companies concerned; Contact the Commission services; Start filling the EGF application form. Stakeholders Provide useful data for the EGF application: Link between the redundancies and trade Workers made redundant (gender, age, position…); Suggest measures (training, recruitment incentives…). or the current crisis* * Amendments to the EGF Regulation 29 April 2009 Economic and Financial Crisis - the Role of the EGF